The application screening process is an essential part of the property management business. You must ensure fairness and consistency across the board for all applicants. The process should include three parts: income verification, credit and background screening, and rental history.
Income Verification and Tenant Screening
When reviewing income, ensure that your applicant brings in sufficient monthly income to cover the rental rate. Often, this is achieved by setting a ratio. Whether you require an applicant to earn two, three, or four times the monthly rent, it’s crucial to feel comfortable allowing them to move into your home. Additionally, establish specific standards for the documentation you’ll accept when verifying income.
Credit Report and Background Screening
With a credit report, you are looking to make sure your applicant has a history of making on-time payments. Each individual will have different credit standards. What’s important is that you’re fair and consistent with every application.
Obtain a nationwide background report on your applicants. Local or state background checks are not sufficient. Make sure you have a fair amount of information about the individual who will potentially be living in your home.
Verifying Rental History
Rental verification involves contacting an applicant’s previous landlords. You can either obtain a verbal reference or send a questionnaire to be completed. Be sure to ask specific questions about the applicant’s payment history, property maintenance, and the condition of the property at the end of the lease term.
If you have any questions about the application screening process or anything that’s involved in Alpharetta property management, please don’t hesitate to contact us at Platinum Property Management Services, Inc.
